Q4 2025 Shoals Technologies Group Inc Earnings Call Transcript
Key Points
- Shoals Technologies Group Inc (SHLS) reported a 38.6% year-over-year increase in fourth-quarter revenue, reaching approximately $148 million.
- The company achieved a record backlog in awarded orders (BLAO) of approximately $748 million, an 18% year-over-year increase.
- International revenue expanded significantly from less than $1 million in 2024 to approximately $13 million in 2025.
- The company's US utility-scale solar business grew by almost 11% for the full year, with a 30% increase in the second half compared to the same period in 2024.
- Shoals Technologies Group Inc (SHLS) introduced multiple new products in 2025, expanding its addressable market and capturing additional market share.
- Profitability was softer than anticipated in the fourth quarter, with adjusted EBITDA growing by only 15% year-over-year.
- The company's gross profit percentage decreased to 31.6% from 37.6% in the prior year period, impacted by tariffs, labor, and shipping costs.
- Legal expenses increased significantly, with $30 million spent on legal professional services in 2025, impacting profitability.
- The company faces ongoing challenges with tariffs, which had a $3.7 million impact on cost of goods sold in 2025.
- Operational inefficiencies are expected during the transition to a new consolidated manufacturing facility, affecting short-term margins.
Good morning and welcome to the Shoals Technologies Group fourth-quarter 2025 earnings conference call. Today's call is being recorded (Operator Instructions)
At this time, I would like to turn the conference over to Matt Trachtenberg, Vice President of Finance and Investor Relations for Shoals Technologies Group. Thank you. You may begin.
Thank you, Karina, and thank you everyone for joining us today. Hosting the call with me is our CEO, Brandon Moss, and our CFO, Dominic Bardos. On this call, management will be making projections or other forward-looking statements based on current expectations and assumptions, which are subject to risks and uncertainties and should not be considered guarantees of performance or results. Actual results could differ materially. Those risks and uncertainties are listed for investors in our most recent SEC filings. Today's presentation also includes references to non-GAAP financial measures.
You should refer to the information contained in
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
